Newman Short-Term Rental (Airbnb) Market
Newman WA Investment Analysis
BUY
— vacancy at 1.7% and $750/wk rent puts this in the top tier of WA yield suburbs.
THE MARKET
Newman has compounded at 8.4%/yr over 5 years — a house that cost $246,536 in 2021 is worth $369,000 today. Properties are sitting on market for 41 days (roughly balanced conditions). At the same growth rate, today's median reaches $552,297 by 2031.
- **Median house:** $369,000 | **Units:** $168,262 - **Gross yield:** 10.6% | **Net yield:** 9.1% - **5yr price CAGR:** 8.4%/yr | **3yr forecast:** 9.5%/yr - **Population:** 12,979 | **Owner-occupier rate:** 35% | **Affluence:** Above Average
- **Supply pipeline:** Low — Price growth outpacing new supply, limited development pipeline
RENTAL SNAPSHOT
- **Vacancy:** 1.7% (improving) | **Rental demand:** High - **Median weekly rent:** $750/wk | **Days on market:** 41 (stable) - Landlord market — rents likely to keep rising.
SHORT-TERM RENTAL
- **Median nightly rate:** $165/night | **Occupancy:** 66% - **Estimated annual STR gross:** ~$39,748/yr - **vs long-term rent:** $39,000/yr (comparable — LTR offers simpler management)
INFRASTRUCTURE & CATALYSTS
- No major confirmed infrastructure projects on record. - **Transport:** Well-connected inner-city location
BULL CASE
If Newman maintains 3%+ annual growth and vacancy stays below 1.2%, median prices could reach $424,350 within 3 years with yields compressing slightly as capital values rise.
BEAR CASE
A market correction or interest rate shock could see prices in Newman pull back 10-15% from $369,000, with vacancy rising to 3.1% and rental yields softening as tenants gain leverage.
KEY RISKS
- No significant risk factors identified for this suburb
COMPARABLE MARKETS
- **Carnarvon** (WA): $284,169 median, 8.5% yield, 2.0% 1yr growth - **Collie** (WA): $479,000 median, 6.1% yield, 31.2% 1yr growth - **Kalgoorlie** (WA): $375,000 median, 9.7% yield, 10.3% 1yr growth
THE PLAY
Newman presents a compelling investment opportunity. The combination of solid fundamentals and high rental demand supports entry at current price levels. Proceed with due diligence on specific properties. Target gross yields above 10.6% and prioritise properties with value-add potential. Consider timing entry around the current growth phase of the market cycle.
- Entry range: $332,100 – $405,900 - Minimum gross yield to target: 10.9% - Watch signal: vacancy staying below 2% and days on market falling below 35
This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.
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Analyse a Property →Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.